Over the years, Amazon has continued to register great success in its endeavors.In 2021, Amazon reported $470 billion net revenue which paints it has a company edging towards prosperity.
It is the world’s second company to be valued at $1 trillion.As a result, it should be known that amazon uses marketing tricks to advance.
Here are the 10 marketing tricks amazon uses:
Price anchoring
When shopping, customers like to compare prices of products they want to buy. In this case, amazon exploits this by creating an illusion that the buyers are saving more by buying the product.
The items on their site normally include the initial price, discount and the total amount you are saving.
Creating Scarcity
“The scarcer the product, the more customers value it”. Amazon normally gives the impression that an item is about to be sold out. It shows the number of items left in stock.
Up-selling products
Amazon persuades its customers to buy additional products by showing them items that compliments the ones in their cart. In the long run, Amazon ends up making more sales.
Adding trust
Amazon adds “best seller” tag to items of top sellers with a higher ranking in terms of sales, product price changes and promotions. As a result, this enables them to gain trust, sell faster and get more customers.
Creating social proof
It is widely known that customers will always opt for products with a higher rating. No one wants to buy an item with a lower rating, So amazon uses 5-star ratings and sincere customer reviews to persuade buyers.
Setting a deadline
The deadline sale on items shows when the item will be on sale or offer; this in turn puts pressure on the customer making him/her to act swiftly in order not to miss out. Amazon uses a countdown timer on their site, showing customers hours, days or minutes they have left to purchase the item.
Creating Ad platform
Amazon has got sponsored products on their site. They generate ads from product listings and offers. Customers are known to click on ads that appear in related shopping pages. Therefore amazon will earn additional revenue from this.
Manufacturing best-selling products
Amazon manufactures products that are relatively high on demand and are popular on their site. As a reward, they make more revenue than just getting commission for items they post on their site.
Using Data to customize the feed
Amazon provides you with the information on all the products you have purchased before,with the help of data feed, they are able to provide customers with products they are likely to purchase.
Same- day delivery
lastly, prime members on Amazon get free same-day delivery on eligible items. This tricks the users wanting the fastest delivery to pay for prime membership. Therefore, Most users end up impulse buying.
